Why does the NY Dow rise while the Nikkei 225 does not rise?
Good morning, this is Matsushita.
Currently, the Dow Jones Industrial Average in the United States has risen for six consecutive days
and is hitting record highs.
However, the Nikkei Stock Average
has been in a range-bound phase for more than a month since its high on 6/20.
Investors who allocate assets to the Dow Jones 30 average
in the United States are seeing their assets continue to grow,
while Japanese investors who invest in the 225 constituents are
not seeing their assets increase.
Why does this kind of thing happen?
Stock prices, fundamentally,
are the present value of the profits those companies will earn in the future,
and market participants trade on expectations,
which causes volatility,
so regarding the future profits of Japanese companies,
market participants likely doubt them,
that is the case.
However, more important than that is not to imagine why prices move or to seek causes,
but to ask, is there any stock that is rising?
Can you buy that stock?
Are the prices of the stocks you own not rising?
If they are falling, what should you do?
That is what matters.
Investors love to search for causes,
always looking for reasons why prices rise,
and reasons why prices fall,
and imagine them,
but they hardly ever consider how to deal with the stocks they own.
If not, funds will never grow.
Right now, which stocks are rising?
Among the 225 constituents,
1925: Daiwa House, 2502: Asahi, 3405: Clariant, 4183: Mitsui Chemicals,
4272: Nihon Kagaku, 4502: Takeda, 5301: Tokai Carbon, 5706: Mitsui Mining & Smelting,
6305: Hitachi Construction Machinery, 6367: Daikin, 6501: Hitachi, 6506: Yaskawa Electric,
6724: Epson, 6758: Sony, 6988: Nitto Denko, 7211: Mitsubishi Motors,
7762: Citizen Clock, 8001: Itochu, 9062: Nippon Express, 9602: Toho,
and about 20 companies exist.
If you are buying these stocks,
or if you were to buy them,
your funds would increase.
They are about 20 out of the 225 companies,
roughly one-tenth, so if you were to build a portfolio of 10 stocks,
one stock should be a strong stock.
Finding these within the 225 constituents takes about 20 minutes.
If you use more tools,
it is possible to pick stocks in even less time.
When the overall market is weak,
you must search for individually strong stocks and buy them.
This is also a skill in stock investing.
Please acquire one trading technique after another.